How Long Do Homeowners Insurance Claims Stay On Your Record?
Navigating the aftermath of an incident which affected your home can be very stressful. Filing an insurance claim is an important part of the recovery and recoupment process. With that being said, many homeowners become concerned about the long-term impact of a claim on their insurance record. Having a better understanding of how long a claim may stay on your record will help you better manage your insurance policy and have more effective outcomes throughout your home ownership. Let’s dive into the ins and outs of how long do homeowners insurance claims stay on your record. If you have any immediate questions, don’t hesitate to contact us.
The Impact of a Claim
When you choose to file a homeowners insurance claim, it’s recorded in your insurance history. This record is maintained in a national database by the name of CLUE (Comprehensive Loss Underwriting Exchange). Insurance companies will utilize this database to properly assess risk of insuring a home or individual by viewing preexisting data and past claim history.
Duration on Record
Homeowners insurance claims will remain on your CLUE report for about seven years before the date the claim was filed. This time period allows insurers to properly evaluate the risk based on a homeowner’s claim history. The age of a previous claim may influence the overall impact on your future insurance premiums and the ability to secure coverage. The older the claim, the less likely it is to influence your ability to secure coverage.
Types of Claims and Their Impact
Not all homeowners insurance claims will affect your insurance record equally. An example of this may be claims made for damage due to natural disasters, as opposed to claims made for damages which occurred due to neglect or preventable maintenance issues. Multiple claims within a shorter period of time may raise red flags for insurers which could potentially lead to higher premiums or difficulty obtaining insurance.
Managing Your Record
To minimize the impact of claims on your insurance record:
- Preventative Maintenance: Maintain your home on a regular basis through proactive, preventative measures to prevent issues which may lead to a claim in the future.
- Document Everything: You should always try to have the right level of documentation to reference after an incident occurs leading to damages.
- Review Your CLUE Report: You can request a free copy of your CLUE report annually
Choose Portsmouth Atlantic Insurance for Your Homeowners Insurance Needs
While homeowners insurance claims do stay on your record for about seven years, having a better understanding of the process can help you better manage your homeowners insurance more efficiently and effectively. Through taking proactive steps to maintain your home and understanding the details of your homeowners insurance policy, you can mitigate the impact of claims on your insurance premiums and eligibility.